Estee Lauder Australia
Beauty products
Brands marketed in Australia: Estee Lauder, Aramis, Aveda, Clinique, Lab Series Skincare for Men, Tommy Hilfiger Toiletries, MAC, Kiton, La Mer, Bobbi Brown, Donna Karan Cosmetics, Jo Malone, Michael Kors Beauty, American Beauty, Flirt!, good skin, Grassroots, Sean John Fragrances, Missoni Profumi, Tom Ford Beauty.

Overall

Owned USA
Rating C
About the Ratings

Company Ownership

Estee Lauder Pty Ltd
AUS
Estee Lauder Companies Inc
owns 100% of Estee Lauder Pty Ltd
USA
Personal care product manufacturer
Founded in 1946, today their products are available in over 135 countries. The founding Lauder family owns 87% of the company stock.

Company Assessment

(Last updated Aug 2024)
Estee Lauder Pty Ltd
Praise
4/5 for packaging performance
This company received a packaging performance level of 4 (Leading) in its 2024 APCO Annual Report. Australian Packaging Covenant Organisation (APCO) is a not-for-profit organisation leading the development of a circular economy for packaging in Australia. Each year, APCO Members are required to submit an APCO Annual Report and Action Plan, which includes an overall performance level from 1 (Getting Started) to 5 (Beyond Best Practice).
Source: APCO (2024)
Estee Lauder Companies Inc
Praise
CDP Climate Change score of A
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change score of A.
Source: CDP (2023)
CDP Forests score of A-
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts towards removing commodity-driven deforestation and forest degradation from its direct operations and supply chains. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Forests score of A-.
Source: CDP (2023)
Green Power Partner
This company is listed on the EPA Green Power Partnership website (USA) as using renewable energy for 104% of its organisation-wide electricity use in the USA.
Source: EPA (2023)
Palm oil scorecard - WWF
The 2024 WWF Palm Oil Buyers Scorecard evaluates the progress and performance of 285 major retailers and manufacturer companies, focusing on actions companies have taken to ensure their own palm oil supply chain is sustainable and free of deforestation, natural ecosystem conversion, and human rights abuse. This company is rated 'leading the way' with a score of 20.34 out of a possible total of 24.
CDP Water Security score of A-
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security score of A-.
Source: CDP (2023)
82.4/100 in Newsweek rankings
America's Most Responsible Companies 2022 by Newsweek and Statista recognises the Top 500 most responsible companies in the United States. Companies were evaluated in three areas: environmental (waste, energy use, etc.), social (leadership diversity, employees and philanthropy) and governance (transparency and economic performance). This company received a total score of 82.4/100, ranking 13th in the Consumer Goods sector, and 89th overall.
Palm oil rating - WAZA
The PalmOil Scan app, produced by the World Association of Zoos and Aquariums (WAZA), rates companies on their commitment to sourcing sustainable palm oil. Companies are scored on their use of certified sustainable palm oil (CSPO), commitment to sourcing CSPO, on-the-ground conservation action, and membership to the RSPO. Companies can earn a rating of Excellent, Good, Poor or No Commitment. This company is rated "Good" (retrieved 18 Nov 2023).
Source: WAZA (2023)
100% on Corporate Equality Index
This company is listed as having best practice on a report card on lesbian, gay, bisexual and transgender equality in corporate America.
60/100 S&P Global ESG Score
This company received an S&P Global ESG Score of 60/100 in the Personal Products category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 23 Sep 2022). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
JUST Capital ranking
JUST Capital polls Americans every year to identify the issues that matter most in defining just business behaviour. For their 2024 rankings the public identified 20 issues, which are organised under the headings Workers, Communities, Customers, Shareholders and Environment. JUST Capital then define metrics that map to those issues and track and analyse the largest, publicly traded U.S. companies. This analysis powers their rankings, in which this company ranked 120th of 937 companies, and 3rd of 10 Personal Products companies.
Criticism
2.9% in conflict minerals rankings
As You Sow's 2019 report, Mining the Disclosures, is a deep analysis of 215 companies' human rights performance in relation to sourcing conflict minerals from the Democratic Republic of the Congo (DRC). This company's score was 2.9% (Weak).
Animal Testing
This company appears on PETA's (People for the Ethical Treatment of Animals, USA) 'Companies That Do Test On Animals' list, signifying that they manufacture products that are tested on animals at some stage of development.
Source: PETA (2022)
CEO Pay Ratio of 872:1
In 2022 the median pay for a worker at this company was US$29,236. The CEO was paid 872 times this amount. Exorbitant CEO pay is a major contributor to rising inequality. CEOs are getting more because of their power to set pay, not because they are increasing productivity or possess specific, high-demand skills. The economy would suffer no harm if CEOs were paid less (or taxed more). In contrast, the CEO-to-typical-worker compensation ratio was 20-to-1 in 1965 and 58-to-1 in 1989.
Fined for false promotion
In 2021 this company was fined 400,000 yuan (US$61,920) for false promotion by market regulators in China. Estee Lauder could not back up its claims that Clinique's fresh pressed daily booster improved pockmarks and reduced wrinkles within four weeks and improved the healing power of skin within 12 weeks. The company's action misled consumers and violated China's anti-unfair competition law. Estee Lauder also failed to back up claims that its Origins plantscription powerful lifting cream was effective in healing wounds and removing wrinkles.
7/20 in Social Benchmark
The 2024 Social Benchmark assesses the world's 2,000 most influential companies on their responsibility in meeting society's fundamental expectations towards three measurement areas: respecting human rights, providing decent work, and acting ethically. This company was assessed in 2024 and received a score of 7/20. The average score was an alarmingly low 4.6/20 and the highest score was 15.5/20.
Tax avoidance
This company scores Ethical Consumer's worst rating for the likely use of tax avoidance strategies, and has at least two high risk subsidiaries in tax havens.
Price fixing in Greece
In 2017 Greece's competition watchdog fined six leading cosmetics firms, including Christian Dior, Estee Lauder and L'Oreal 19 million euros for distorting competition. This company's Greek branch was fined 5.4 million euros.
Excessive CEO pay
As You Sow's 2023 report, 'The 100 Most Overpaid CEOs', reveals the 100 most overpaid CEOs from USA's 500 largest public companies (as determined by the S&P 500 list). This company's CEO, Fabrizio Freda came in at number 2 on the list, having been paid US$65,996,984 in 2022. According to the report, "Most CEOs have come to be grossly overpaid, and that overpayment is harmful to the companies, the shareholders, the customers, the other employees, the economy, and society as a whole."
Information
Microbeads scorecard
In 2016 Greenpeace East Asia ranked the world's 30 biggest personal care companies on their commitment to eliminating microbeads from their personal care products. The scorecard was based on four main criteria: commitment & transparency, definition, deadline and global application. This company was one of the lowest ranked. Microbeads are not retained by wastewater treatment and end up in the ocean where they are a threat to the marine environment.
Use of microplastics
This company uses plastic microbeads in some of its personal care products. These particles are not retained by wastewater treatment so end up in the ocean where they contribute to ocean plastic pollution, and are hazardous to sea life. While the effects of microplastics on human health are not completely understood, there are concerns about plastic additives, such as phthalates, which are known endocrine disruptors which are shown to have harmful effects on life.
Price fixing
In 2005, Estee Lauder and other major cosmetics manufacturers and retailers announced they would give away $175 million in products to settle a class-action lawsuit accusing the companies of price fixing. [Listed under information due to age of court date]
Nanoparticles in cosmetics
Testing commissioned by Friends of the Earth Australia found nanoparticles in foundations and concealers sold by Estee Lauder.
Source: FOE (2009)
Price fixing in France
In Jan 2012 a Paris appeals court upheld a 40 million euro fine imposed in 2006 by the French competition watchdog, which said the companies involved had reached illicit agreements on price fixing, enforced by procedures to monitor prices in outlets and backed up by commercial threats for non-compliance. Thirteen leading perfume and luxury goods companies were fined.
Climate action commitments
As listed on the We Mean Business website, this company has committed to the following climate action initiatives: adopt a science-based emissions reduction target; commit to 100% renewable power.
Action on mica mining in India
This company claims to source less than 10 per cent of its mica from India, but was working with a local community organisation to eliminate child labour. Estee Lauder has partnered with Indian NGO Bachpan Bachao Andolan (BBA) since 2006, to promote access to education as an approach to work towards the elimination of child labour in mica-sourcing communities.
Source: SMH (2014)
Mum-friendly employer
This company was named in Seramount's 100 Best Companies 2022 for being a mum-friendly employer. Listed companies provide inclusive benefits for families, including paid gender-neutral parental leave, phase-back programs, bereavement leave after miscarriage, reimbursement for fertility expenses, and increased mental health benefits for employees.
Gender equality
This company appears on the 2023 Bloomberg Gender-Equality Index, signifying a commitment to supporting gender equality through policy development, representation, and transparency.
GC3 member (Green Chemistry)
This company is a member of the Green Chemistry and Commerce Council (GC3), a business-to-business forum that advances the application of green chemistry and design for environment across supply chains. It provides an open forum for cross-sectoral collaboration to share information and experiences about the challenges to and opportunities for safer chemicals and products.
Source: GC3 (2019)
Sustainable Brands member
This company is a Bronze Member of the Sustainable Brands Network, the leading peer to peer, learning and networking group designed to support brands in meeting their sustainability goals and ultimately become those leaders of the next sustainable economy.
Ellen MacArthur Foundation member
This company is a member of the Ellen MacArthur Foundation, whose stated mission is to accelerate the transition to a circular economy. The Ellen MacArthur Foundation works with business, government and academia to build a framework for an economy that is restorative and regenerative by design.
Responsible Mica Initiative member
This company is a member of the Responsible Mica Initiative, a Do-Tank which aims to eradicate child labour and unacceptable working conditions in the Indian mica supply chain by joining forces across industries.
41% in Forest 500 Rankings
Forest 500 identifies the 350 companies and 150 financial institutions with the greatest exposure to tropical deforestation risk, and annually assesses them on the strength and implementation of their deforestation and human rights commitments. This company received a score of 41%.
C grade in Plastic Promises Scorecard
As You Sow's 2024 Plastic Promises Scorecard measures the corporate ambition and action of 225 large companies across six industries on six core pillars of plastic packaging pollution prevention: 1) Recyclability, 2) Reduction, 3) Recycled Content, 4) Recovery, 5) Reuse, and 6) Producer Responsibility. This company received a grade of C.
Skin Deep hazard scores
Skin Deep is an online safety guide to cosmetics and personal care products and their potential hazards and health concerns, with over 75,000 products rated from 1 (low hazard) to 10 (high hazard).
Modern Slavery statement
California, the UK and Australia have all enacted legislation requiring companies operating within their borders to disclose their efforts to eradicate modern slavery from their operations and supply chains. Follow the link to see this company's disclosure statement.
OpenSecrets.org profile
OpenSecrets.org tracks the influence of money on U.S. politics, and how that money affects policy and citizens' lives. Follow link to see this company's record of political donations, lobbying, outside spending and more.
25.1% in Nature Benchmark
The Nature Benchmark ranks 816 companies across 20 industries on their efforts to protect our environment and its biodiversity. Companies were assessed in three phases between 2022 and 2024 using three measurement areas: governance and strategy; social inclusion and community impact; and ecosystems and biodiversity. This company was assessed in 2024 and is ranked #143/816, with a total score of 25.1/100.

Company Details

Type:
Wholly-owned subsidiary
Revenue:
264 million AUD (2020)
Employees:
1,580 (2020)

Contact Details

Address:
21 Rosebery Ave, Rosebery, NSW, 2018, Australia
Freecall:
1800 613 783
Website:
www.esteelauder.com.au

Products / Brands

Estee Lauder Australia
Bobbi Brown Cosmetics
Clinique Cosmetics
Clinique Skin Care
Estee Lauder Fragrances
Estee Lauder Cosmetics
mac Cosmetics
Smashbox Cosmetics
Tom Ford Beauty Fragrances
Tom Ford Beauty Cosmetics
Estee Lauder Australia / Frostbland (marketing & distribution)
Aramis Fragrances